Indiabulls Limited · NSE:IBULLSLTD
Indiabulls — Indiabulls Ventures — Q1 FY2018-19 Earnings Presentation
29 slides from Indiabulls's earnings presentation, Jul 23, 2018
Slide 1: Unaudited Financial Results: Q1 FY 2018-19
Unaudited Financial Results : Q1 FY 2018-19 July 23, 2018
Slide 2: Safe Harbour Statement
Safe Harbour Statement This document contains certain forward-looking statements based on current expectations of Indiabulls Ventures Ltd.’s (CIN: L74999DL1995PLC069631) management. Actual results may vary significantly from the forward-looking statements in this document due to various risks and un
Slide 3: Contents
Contents Pg. No. 1. Business Update: Indiabulls Ventures Limited 04 2. Market Landscape 08 3. Lending Business: IVL Finance Ltd. 15 4. Borrowings Mix, Ratings and Shareholding 23 5. Detailed Financials 28 3
Slide 4: Business Update: Indiabulls Ventures Limited
Business Update: Indiabulls Ventures Limited 4
Slide 5: YoY Comparison (previous GAAP): Q1 FY18-19 vs Q1 FY17-18
Business Update: Indiabulls Ventures Limited Year-on-Year (YoY) Comparison (as per previous GAAP) : Q1 FY18-19 vs Q1 FY17-18 Y-o-Y Q1 FY18-19 Q1 FY17-18 Growth (%) Revenue (₹ Mn) 3,895.1 1,722.2 126.2% PBT (₹ Mn) 1,477.6 640.3 130.8% PAT (₹ Mn) 1,071.9 502.8 113.2% Total Loan Assets of IVL Finance a
Slide 6: YoY Comparison (Ind AS): Q1 FY18-19 vs Q1 FY17-18
Business Update: Indiabulls Ventures Limited Year-on-Year (YoY) Comparison (as per IND AS) : Q1 FY18-19 vs Q1 FY17-18 Y-o-Y Q1 FY18-19 Q1 FY17-18 Growth (%) Revenue (₹ Mn) 3,518.9 1,619.9 117.2% PBT (₹ Mn) 1,216.0 559.6 117.3% PAT (₹ Mn) 877.3 449.9 95.0% Total Loan Assets of IVL Finance as of 30th
Slide 7: Reconciliation of consolidated profit with previous GAAP
Reconciliation of consolidated profit with previous GAAP : Indiabulls Ventures Limited Figures in ₹ Mn Particulars Q1 FY19 Q1 FY 18 Profit before tax as per previous GAAP 1,477.6 640.3 IND AS adjustments increasing/(decreasing) profit: Adoption of Effective Interest Rate method for (69.1) (64.7) fin
Slide 8: Market Landscape
Indiabulls VENTURES Market Landscape
Slide 9: Huge Market Opportunity
Huge Market Opportunity India’s Household Debt to GDP stood at 10.2%^ - the lowest among all the G20 nations and less than 1/4th of China’s 44.4% Household Debt to GDP (%) 87.6 79.5 67.7 70.2 70.3 61.0 44.4 34.5 22.7 15.7 10.2 India Russia Brazil South China Singapore Hong Thailand Malaysia USA UK A
Slide 10: USD 1 Tn of Digital Lending in India in next 5 years
USD 1 Tn of Digital Lending in India in next 5 years 48% Historical achieved numbers Forecast 350 2021 2022 2023 270 200 23% 150 110 75 7% 58 46 23 33 9 14 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 USD 1 Trillion Digital Lending (USD Billion) Digital Lending / Total Lending (%) Sou
Slide 11: India vs China
India vs China Figures in USD India China China/India Gap GDP1 2.85 Tn 14.09 Tn 5x Personal Loans2 49 Bn 2.2 Tn 45x SME Loans3 30 Bn 5 Tn 167x Source: 1. www.IMF.org 2. Credit Information Bureau (India) Limited (CIBIL), a TransUnion company; Household debt report, Fed (Feb 2018); Forbes article - Ch
Slide 12: Huge Headroom for Growth in the Indian Market
Huge Headroom for Growth in the Indian Market Current Population1 1.32 Bn Total Aadhaar issued in India2 1.21 Bn Aadhaar Enrolment % 92% Credit Bureau Population3 250 Mn Total Working Class1 646 Mn Population under the age of 732 Mn 30 years1 Source: 1. https://www.livepopulation.com/country/india.h
Slide 13: Indian Personal Loans Market
Indian Personal Loans Market Working Population in India is 646 Mn Current Personal Loans penetration in the working population of India is 4.5% With a CAGR of 27%1, the personal loan market by number of individuals is expected to rise 10x in the next 10 years Game Changer Initiative : Effecti
Slide 14: Indian SME/BIL Lending Market
Indian SME/BIL Lending Market Indian MSME sector is a network of 51 Mn enterprises contributing to USD 1 Tn i.e. 37.5% of the country’s GDP Game Changer Initiative : As per the Goods & Service Act 2017, all SMEs with a turnover over USD 30,000 to mandatorily file their GST returns. This is expecte
Slide 15: Lending Business
Indiabulls VENTURES Lending Business Indiabulls IVL FINANCE 15
Slide 16: IVL Finance Performance
IVL Finance Performance 7.6 Mn downloads since its launch on 15th November’17 till 30th June’18 Over 3 Mn customers validated for credit on ‘Dhani Credit Engine’ after eKYC Aadhaar authentication 4.2% - Disbursal percentage on total customers validated for credit 16
Slide 17: Multiple App and Web based Products/Sourcing Channels
Multiple App and Web based Products/Sourcing Channels 1 5 Web based platform 2 3 4 17
Slide 18: Loan Assets Composition
Loan Assets Composition 17% 55% 28% Personal Loans Unsecured SME Loans Secured SME Loans Total Loan Assets : ₹ 64,822.4 Mn as of June 30, 2018 Secured Loan Assets : ₹ 35,851.6 Mn as of June 30, 2018 Unsecured Loan Assets : ₹ 28,970.8 Mn as of June 30, 2018 18
Slide 19: Key Product Stats
Key Product Stats Loan Assets as Q1 of 30th June, Average Range Average Tenure Product lines Disbursements IRR 2018 (₹ Mn) (in months) (₹ Mn) (₹ Mn ) Personal Loans 17,885 6,190 17.77% 0.08 – 0.35 20 Unsecured SME 11,085 3,600 20.28% 2.0 – 2.5 18 Loans Secured SME 35,852 19,212 13.78% 15 – 50 34 Loa
Slide 20: Asset Quality
Asset Quality Personal Loans Unsecured SME Loans Bkt 0 100% 99.95% 99.93% 99.91% 99.51% Bkt 0 100% 99.72% 99.28% 98.98% 98.62% 30+ 0% 0% 0% 0.02% 0.15% 30+ 0% 0.04% 0.21% 0.56% 0.80% 2.50% 2.50% 2.00% 2.00% 1.50% 1.50% 1.00% 1.00% 0.50% 0.50% 0.00% 0.00% Jun'17 Sep'17 Dec'17 Mar'18 Jun'18 Jun'17 Sep
Slide 21: Credit Quality - Provisioning Coverage – Ind AS
Credit Quality - Provisioning Coverage – Ind AS Figures in ₹ Mn ECL Business Segment AUM GNPA* NNPA PCR %# GNPA % NNPA% Provision^ Personal Loans 17,885 6.1 4.9 1.2 80% 0.03% 0.01% Unsecured SME Loans 11,085 58.5 47.0 11.5 80% 0.53% 0.10% Secured SME Loans 35,852 - - - - - - Total 64,822 64.6 51.9 1
Slide 22: NPA Movement
NPA Movement Figures in ₹ Mn Particulars Mar’18 Jun’18 Assets under Management 40,018 64,822 Opening GNPA 5.4 20.8 Roll Forward into NPA 15.4 43.8 Write Offs - - Total Recoveries and Write Offs - - Net Addition to Gross NPA 15.4 43.8 Gross NPA 20.8 64.6 GNPA % 0.05% 0.10% NNPA % 0.01% 0.02% PCR %* 8
Slide 23: Borrowings Mix, Ratings & Shareholding
Borrowings Mix, Ratings & Shareholding 23
Slide 24: Borrowings Mix
Borrowings Mix 19% 81% Term Loans Debentures & Securities Total Borrowings : ₹ 49,921.6 Mn as of June 30, 2018 24
Slide 25: ALM Strategy
ALM Strategy Maturity Profile Figures in ₹ Bn [As of June 30, 2018] 44* 37 30 26 25 15 Up to 1 yr 1 - 5 yrs Over 5 yrs Assets Liabilities Average tenor of liabilities is longer than average tenor of assets, allowing the company more financial leverage for future borrowings *Assets in the ‘Up to 1 Yr
Slide 26: Credit Ratings: IVL Finance Limited
Credit Ratings : IVL Finance Limited Long Term Credit Rating CARE Ratings^ AA ^ the first time that a lending entity in India has been initiated at such a high rating level Short Term Credit Rating CRISIL [a Standard & Poor’s Company] A1+ ICRA [a Moody’s Investor Service Company] A1+ CARE Ratings A1
Slide 27: Shareholding Pattern
Shareholding Pattern 27.1% 36.8% 36.1% Founder Foreign Institutional Shareholding Public & Mutual Funds As on 30th June, 2018 27
Slide 28: Detailed Financials
Indiabulls VENTURES Detailed Financials 28
Slide 29: Consolidated Income Statement
Consolidated Income Statement Indiabulls Ventures Limited Group Consolidated Statement of Profit and Loss for the period ended June 30, 2018 (₹ in Millions) For the period ended For the period ended June 30, 2018 June 30, 2017 Revenue Revenue from operations 3,446.0 1,574.4 Other income 72.9 45.5 To
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